As deliveries for 2019 are upon us Transeco are incredibly anxious to fulfil forward gold sales as a matter of urgency. It is with deep regret that we are not in the position to fulfil your gold purchase for reasons outlined within this letter. We understand this letter is long and in great depth however its hugely important clients understand exactly what is going on. Although we’ve been faced with various unprecedented circumstances beyond our control, clients remain the main priority and we are entirely committed to completing each purchase as soon as production begins.
Due to various issues with small scale mining, Transeco made the move to change our status to large-scale mining. In order to commence this route, we required a greater investment to procure heavy plant machinery, infrastructure and various large-scale concessions. Initially we were hugely successful in raising funds until this abruptly came to a halt when the Dutch justice prevented Goudtoken company from operating in April 2019.
Whilst our company have not been implicated by the recent investigation or its directors and employees in the UK and Ghana, our Dutch escrow accounts have been. ING bank along with the Justice applied an order to freeze our accounts in Holland alongside, Goudtoken and Mr J Hooft’s, during the investigation. Consequently, there is approx. 340,000 Euros frozen, considerably more in Mr J Hooft’s account and most damaging is the several million that was expected to push production forwards. Together with brokers we are now undergoing the gruelling process of identifying which clients have their money frozen.
Further investment was crucial to Transeco as it had financially committed to purchasing large processing plants, further heavy plant machinery, make final payments on equipment and concessions. Deposits had been paid, on the basis that investment would be available in the coming months. Losing this has been detrimental to the planned growth and development of Transeco.
We are working incredibly hard with lawyers who have lodged several official documents to unfreeze the account, yet the procedure is extensive, complex and ongoing. At present we have had no contact or explanation directly from ING bank or the Justice. The actions and repercussions of ING and the Justice freezing our bank account without notice or for no tangible reason is detrimental to Transeco Minerals & Mining. We are currently arranging court proceedings to resolve this. The action of the justice towards transeco and their unjust action against Goudtoken and Mr Hooft, has meant that deliveries will be late and is continuing to delay and endanger the whole operation.
In the meantime, we continue exploration work which is enormously vast, legalities, exploration, infrastructure and reports to name a few is a momentous task. We are also faced with the rainy season between June-November where work often comes to a complete stop due to wet weather and flooding.
Although we endure further challenges, we are optimistic and enthusiastic to explore and take advantage of upcoming opportunities and our clients are the most significant part of Transeco Minerals and Mining, without the forward gold purchases we would not be in the positive position we’re in now. Our top priority is to fulfil each contract and reassure clients that we are proactively working towards this.
We appreciate the biggest concern is when gold purchases will be fulfilled though, we are continually reluctant to provide exact dates and potentially mislead clients. The Justice must withdraw all actions against Goudtoken company and allow Mr Hooft to start his operation urgently, so that Transeco doesn’t continue to suffer repercussions and further delays.
We would like to offer clients the opportunity to visit Ghana covering a two-night stay, transfers and a tour around site. This opportunity will enable you to see the progress and equipment bought with forward gold purchases, this also provides additional security knowing where the assets are located. We would like to maintain a transparent relationship with our clients, please feel free to contact us any time or visit https://www.transeco.org for regular updates direct from Ghana.
UK +44 7438 278109 Ghana +233 24 924 3291 Dutch +00 318 5130 7523
Mr A Niazi Director & Mr G Amarh Director